Nine Network records a $236.9 million loss dragged down by a soft free-to-air market

Nine Entertainment reported a statutory net loss in its first half due to a non-cash impairment of $260 million and an $85 million settlement of the Warner Bros output deal.

Statutory net loss in the first half was $236.9 million compared with a $320.8 million profit a year ago, the company said. Profits before the charges slipped 4% to 75 million on a 4.5% fall in revenue to $659.2 million, it said.

Nine said a soft free-to-air market dragged the results lower. The total television market recorded a 2.7% decline across the six months and the metro free-to-air advertising
market recorded a 4.5% fall, it said citing data from KPMG.

Nine said it’s advertising market share had improved after the Olympics and the momentum was continuing in 2017. Nine’s rival Seven Networks had the free-to-air Olympic broadcast rights in Australia.

This table below shows Nine Network’s charges in the first half.

The company said it expects its full-year operating profits to meet analysts expectations, which are in the $158 million to $187 milliom.